Trump-backed World Liberty Financial launches a WLFI token buyback after a 66% slide this year

World Liberty Financial, the crypto venture backed by the Trump family, has announced a new buyback plan for its WLFI token after the price fell following the Republicans’ midterm rout^1,2. The company launched the program on Thursday⁶.

The plan comes after a steep drop. The token has slid 66% since the start of the year^3,4, and the WLFI governance token is down 10% since Democrats took Congress⁵. Another tally put the decline this year at more than 60%⁵.

The venture plans to buy back more of its WLFI token after the steep price drop^3,4, according to accounts of the plan that describe it as an expansion of buying rather than a first step³. Eric Trump is a co-founder of the venture².

Why it matters to investors

The funding source ties the buyback to the venture’s stablecoin business. The program is funded partly by fees from its USD1 stablecoin reserves⁷. Other accounts were more tentative, saying the initial allocation may include fees earned from USD1 reserves⁹ and that initial funding could include income from stablecoin reserves⁶.

That distinction matters for holders. A buyback paid for by reserve income links the token’s support to the size of the stablecoin, and the accounts differ on how firm that commitment is^7,9.

The venture is closely identified with the president. It is a platform linked to the family of US President Donald Trump⁸, and it is described as the Trump-family-backed crypto project¹⁰. The token’s fall since Democrats took Congress⁵ means the buyback arrives just after an election that went against the president’s party¹.

What to watch

The size and pace of purchases are the first test. The initial funding is described as coming from the venture’s reserve income^6,10, so the scale of buying will depend on how much those reserves earn.

The second is the token price. With losses of 66% this year³ and 10% since the election⁵, investors will look for whether repurchases slow the decline.

The third is scrutiny. The buyback follows a price drop tied to the election¹, and the venture’s links to the president’s family⁸, with Eric Trump as a co-founder², tie its fortunes to the shifting politics in Washington after the vote⁵.